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PJM'S Eau de Barnyard Miasma

12/5/2010

21 Comments

 
"Oh, what a tangled web we weave, when first we practice to deceive." -- Sir Walter Scott

PJM's house of cards is swaying precariously in a new wind that has begun to blow.  PJM claims their planning process is "transparent", and I'm starting to agree.  It's becoming increasingly transparent that PJM will continue to erroneously favor the greed-driven projects of their most powerful members, even when their own credibility is on the line.  Seems like PJM doesn't even have enough intelligence to carry out the basic instinct of self-preservation.

On December 1, PJM announced that the Mt. Storm-Doubs rebuild was approved, and also reaffirmed that the PATH project is needed.  Huh?  The press release states that the Mt. Storm-Doubs rebuild will increase the capacity of "one of the most heavily used transmission lines in PJM" by more than 60%.  This capacity increase is not factored into the supposed "need" for PATH.  Why not?  A little too much transparency, boys?  That's okay, PJM, we can clearly see that you're no longer making any logical sense or even bothering to create some pretext of "need" for the project.

Apparently it's not just us citizens who see PJM bias -- the Consumer Advocates/Peoples' Council from eight different states (WV, MD, VA, IL, DC, OH, NJ and DE) have joined together to question PJM's recent actions.

At issue here is the way PJM has been playing games with proposed alternatives to the PATH project.  One such alternative, the Liberty Line, has now been rejected by PJM twice.  The most recent rejection was based on a conceptual study prepared by Burns & McDonnell (conflicting interests since 1898!)

Before we even get into some of the interesting conclusions the study reaches, let's talk about CONFLICT OF INTEREST.  Burns & McDonnell is also a contractor working on the PATH project.  How can they impartially evaluate a competitor to a project they are already working on?  They can't.  And the Consumer Advocates are pretty steamed up about that (and you should be too!)  I'm sure you, dear ratepayer, are paying for this worthless study.

The study prices the Liberty Line between $2 and 2.5 billion, compared to PATH's $2.1 billion.  Where's the conceptual study that priced PATH, you ask?  It doesn't exist.  PATH has simply pulled its cost estimates out of its... hat, and PJM takes them at their word, no study needed.  I have a sneaking suspicion that Liberty is overpriced and PATH is severely under priced.  Apparently I'm not the only one.

Couple of amusing things in the study: 

"...the Project would likely have several challenging issues to address associated with siting, real estate, permitting, and construction that could make it a complex and difficult project to permit and construct and thus could extend the schedule for the completion of the Project."

"Following the collection of available data, Burns & McDonnell identified the major constraints and issues within the study areas. These major constraints and issues consisted predominantly of environmental and regulatory constraints. Environmental, social or regulatory constraints are areas where transmission line siting is impractical or less favorable for institutional or social reasons, or because the potential environmental impacts are considered excessive."

"Risk factors that could delay the project duration are public opposition and organized opposition groups, state siting approval, the NEPA process, permit clearances and approvals, construction issues, and potential mitigation requirements. Several of these risk factors could affect the project duration significantly."

"In addition, the timeframe and costs required to energize the line would likely be significant based on the involvement of three different states and 15 counties and the issues and constraints described above."

"The following factors were identified and taken into account: Expected level of sophistication of landowners"

"National Environmental Policy Act (NEPA) compliance for the crossing of the Appalachian Trail in Pennsylvania. The Appalachian Trail is managed by the NPS. Any federal agency that is being asked to issue a permit to an individual or company must evaluate the environmental effects of the permit decision under NEPA. The NEPA review process could apply to the entire project length."

"Local zoning approvals from affected municipalities for a new substation at Kemptown."  Yeah, like how they turned down PATH's application for a special exception.

"Challenges associated with connecting to the new Kemptown Substation. The location of the Kemptown Substation is surrounded by residential development. A new 500-kV transmission line into this substation would likely require the displacement of a number of residences or reconfiguring the existing 500-kV line to minimize impacts to residences in the vicinity of the Kemptown Substation. There are also organized opposition groups, such as Citizens Against Kemptown Electric Substation (CAKES), that are opposed to the proposed location of the Kemptown Substation."

"Public opposition. As a result of several recent transmission line projects in the area (Urbana Loop, PATH, and Mid-Atlantic Power Pathway (MAPP)), the public is highly educated about the Certificate of Public Convenience and Necessity (CPCN) process, and they have created organized opposition groups such as CAKES and the Sugarloaf Conservancy."

And any of this differs from PATH how?  Don't you just love how "sophisticated" we've all become?  That's just a nice way of saying that the citizens aren't the trusting, uneducated, country bumpkins that PATH expected.  Beware, unneeded transmission project owners, we're going to rip your head off and spit down your neck!

This next bit is especially interesting, considering how PATH has been continually playing the FERC card with the various state regulatory boards.  Just as I have always suspected, that card is really more of a joker -- one of the states ought to call their bluff...

"The proposed Project falls within the counties included in the Mid-Atlantic Area National Interest Electric Transmission Corridor as designed by the Federal Energy Regulatory Commission (FERC). According to the Energy Policy Act of 2005, FERC may consider an application for a transmission line within this corridor. However, it should be noted that FERC authority can only be requested if the state does not act on an application for more than one year. In addition, FERC has never been asked to exercise their siting authority, which would likely create delays as the agency determines its review strategy. If the transmission line is processed under FERC siting authority, an Environmental Impact Statement (EIS) would be prepared for the entire transmission line."

Looks like big trouble coming up at PJM and at the three state regulatory agencies for PATH as they try to backpedal out of all the lies they have told to the public about their "transparency".  Hey, PJM, remember that old adage... "When you lie down with dogs, you get up with fleas"?  Now PATH's fleas are making you dance.  Let the heads roll where they may...

For more about this issue, be sure to also read PJM Deceives State Officials About PATH Alternatives — And Gets Caught on Calhoun Power Line.
21 Comments
JustMe
12/6/2010 10:54:19 am

Well well well... What do we have here. Could it be history being revealed? Perhaps its time to put out some kibbles & bits for investigative reporter types. Why don't you ask the dudes who have been there since the Power Act controlling all this nonsense was passed? Two that come to mind are PJM's Craig Glaser and Steve Herling. You could fill landfills with their sworn tesitmony, public statements, press releases and media quotes. You might have better luck looking for "consistencies" to pull them out of the rubbish then toss everything else into the pile of irreconcilable BS.

Nothing like storm weathering and tire tracks from constantly changing direction to forensically reveal the truth of stories. And media folks? I know you are all rusty, but these here are real fine pickins. Might even restore your mojo. While you're at it, has any one spoken with PLATTS, the supposed "expert" media house? (Oops sorry to pry in sensitive family unmentionables, but who owns them anyhow?)

How about early documents like the "REQUEST OF PJM INTERCONNECTION, L.L.C. FOR EARLY DESIGNATION OF
NATIONAL INTEREST ELECTRIC TRANSMISSION CORRIDORS - March 6, 2006. Don't bother at FERC -- Try DOE. Its the same old story -- parent (DOE)indulges child (FERC)who grows up (way too fast and spoiled by "leave you in my will" promises of Great Auntie Congress on life support from Evil Dr. Lobby) and then the parent is baffled..."Why doesn't my child respect me? I feel like I have no place in my baby's life anymore!" Why its just a big booh-hooh-hooh all around, isn't it.

Who needs Desperate Housewives? Lets just watch as the players realize that a 2005 law bought and paid for by Enron is not necessarilly where a places like Credit Suisse wants to put thier genteel conservative Euros.

One final iconoclastic thought...OK, just a little dream I have. What if PJM was rendered "unnecessary" by a Congress risk manager whe determines that PJM is just too far past the BS threshold to justify its existence? Can't we just wrest this ugliness out of the cartel's hands and give the business to some hard nosed competitive free market innovators who can kick China's butt? Lets pull the warriers out of Iraq and put them to work here building the grid as an integrated part of our nation's defense - secret, underground...out of sight. With a tight budget, the PJM players might have to compete with a qualtiy product and replace lobbyinsts with scientists, engineers and security experts. I must be getting sleepy -- these dreams are getting way too realistic....

Reply
Keryn
12/6/2010 06:12:17 pm

A long time ago there was a quote in a news story from one of the PJM talking heads (don't remember which one) who claimed that "PJM answers to no one".

Maybe I need to ship a case of ale up there?

We all answer to someone. Those who think they don't are setting themselves up for a fall.

Thanks to our government for creating this particular monster.

Reply
Da Hillbilly
12/6/2010 06:15:26 pm

Sounds like another exciting episode of "As the Meter Turns."
Today's episode features Higher rates, Lies and deception, Sneaky Underhanded games, and many evil villans. However, FEAR NOT, our hero, stoppathwv, swoops in toward the end of todays episode to save the viewing (AND PAYING) audience. Todays episode is brought to you, not in part but in whole by YOU, the ratepayer! Give up PATH before the plug is pulled and you go by the wayside like so many daytime dramas (soap operas) have before you! This is a horrible program and should have never made it past the pilot phase. But there is that little driving force of GREED that makes people do stupid, STUPID things in life.

Reply
Keryn
12/6/2010 06:22:25 pm

And here it is: http://www.journal-news.net/page/content.detail/id/510021/Officials-explain-electricity-grid.html

A real blast from the past!

Some ideas just like to go down the hard way, all covered with a liberal layer of scandal. Nobody to blame but themselves.

The truth shall set us free.

Reply
JustMe
12/6/2010 11:10:03 pm

Just for laughs, lets see how far back PJM has been trying to screw ratepayers. This is one of the older ones I have collected. It tends to disappear off line now and then so I'll print it in its entirety. For doubters, it was never about reliability, it has always been about economics. Reliability was invented as a credible sounding driver:

PJM Advances Transmission Congestion Relief; Economic Planning Process Opens First `Market Window'
Mar 12, 2004 2:15 PM
PJM Interconnection, LLC

PJM Interconnection has opened the country's first "market window" for solutions to electric transmission system congestion.


The "window" deals with congestion that increases costs for transmission system customers. The window is an opportunity for any party to propose and offer to fund ways to ease transmission congestion -- and its costs -- in the PJM region.


"We're excited to launch this window concept as part of our first-of-its- kind Economic Planning Process," said Steven R. Herling, executive director- System Planning for PJM. "While working with our stakeholders to address a financial matter for some customers, we developed an inclusive process that balances the needs and interests of all market participants."


Congestion is an economic condition. It results when limits on the transmission system prevent the lowest-priced electricity from reaching customers in a location. In those situations, electricity remains available to reliably serve customers, but it is at a higher-price.


The PJM market offers wholesale electricity customers ways to hedge congestion costs. In effect, they can buy insurance that protects them from the cost of congestion. However, customers cannot buy protection from all congestion. This congestion is referred to as "unhedgeable." It results in a higher cost to customers because of the higher cost of electricity to serve them.


On an ongoing basis, PJM's Economic Planning Process will identify the location of unhedgeable congestion and determine its dollar cost. The process also estimates the cost of a traditional transmission system upgrade to solve the problem.


With that information the marketplace can consider the viability of alternative solutions to congestion. It also can decide whether the financial benefit from relieving congestion is worth the cost.


Market-based solutions could take several forms including generation, merchant transmission, distributed generation or load-response programs.


PJM's initial study, released last week, identified 30 facilities experiencing unhedgeable congestion. The first market window runs from March 4, 2004, to March 3, 2005.


The Economic Planning Process provides an option should no one in the marketplace step forward during the one-year market window. PJM could request the owner of the transmission facility to make the identified transmission improvements. The cost normally would be reflected in customers' transmission rates.


PJM has posted to its Web site the facilities causing congestion, data about congestion costs and the cost to ease congestion. The information is at www.pjm.com > Planning > Economic Planning Process > Market Window Opened for Congestion.


PJM Interconnection ensures the reliability of the high-voltage electric power system serving 25 million people in all or parts of Delaware, Maryland, New Jersey, Ohio, Pennsylvania, Virginia, West Virginia and the District of Columbia. PJM coordinates and directs the operation of the region's transmission grid; administers a competitive wholesale electricity market, the world's largest; and plans regional transmission expansion improvements to maintain grid reliability and relieve congestion. The expected addition of several utilities to PJM will more than double its size and scope. Visit PJM at www.pjm.com.

Reply
Pam
12/7/2010 12:58:49 am

This isn't the appropriate place to put this. Maybe we can create a just for fun and games section. The latest document from the PSC is the Answer of Path to 3rd Request for Data regarding number of homes and properties in the ROW. November 2's answer said 1156 properties have been identified and 1135 owners have been notified. December 6's response says 1138 have been identified and 1122 have been notified. If this doesn't prove they don't know what they are doing, nothing is because these numbers change every month.

Reply
Keryn
12/7/2010 03:07:08 am

LOL Pam! Snidely Whiplash has killed off another 18 landowners by tying them to the tracks in front of an approaching train! Where's Dudley Doright when you need him? I did a post on this stupidity back when the first 11 landowners got axed. What's even stupider than their (semi) monthly responses is that the staff keeps accepting this rubbish without question.

Reply
Keryn
12/7/2010 03:12:04 am

JM -- that's a great find! Completely proves a point we have been making about who pays for economic congestion now vs. who's going to be paying for these unneeded projects. It's all about shifting costs onto the backs of ratepayers so the power companies can enjoy even bigger profits.

Isn't that interesting that they were about to add "several" utilities to double their size and scope AND PROFITS (and the ultimate cost to the ratepayers). You've turned up the puzzle piece that precedes Project Mountaineer. The timeline from hell tells a story all by itself without us saying a word.

Liars.

Reply
Interested One
12/7/2010 04:01:56 am

Note the "REQUEST" word not "ORDER" as PJM and the utilities have been saying since 2007.

"PJM could request the owner of the transmission facility to make the identified transmission improvements. The cost normally would be reflected in customers' transmission rates."

Reply
Judge Judy
12/7/2010 04:06:36 am

Dear PJM Interconnection, LLC:

Don't pee on my leg and tell me it's raining.

If you tell the truth, you don't need to have a good memory.

Very truly yours,

Judge Judith Sheindlin

Reply
?
12/7/2010 09:13:53 am

dont forget this one:if it doesn't make sense, its probably not true

Reply
JustMe
12/7/2010 11:50:28 pm

My favorite part is when Stevie talks about standing guard at the congestion points to let the cheapest forms of energy through first. So how does that square with PATH's position that all the water flows into the buckets and mixes together? AND how does this square with developing renewables when King Coal stands guard at the congestion points ensuring no "unhedgeables" get through? Yes, electrons do have a color - PATH likes the green ones - green for cash, not renewables! Steeeeeevie! Ready for cross examination????

Reply
Da hillbilly
12/7/2010 11:58:46 pm

BWAHARHARHARHAR!

Reply
Keryn
12/8/2010 05:27:13 am

Oh, JM, you're going to have fun with him!!!!

A third-grader would have fun with him, as long as they have the stones to demand a real answer. Gotta roll my eyes back into the front of my head now.

Reply
JustMe
12/8/2010 07:21:41 am

Ya know? I think I might just take a poke through some old Enron documents and search myself a holiday gift or two -- wonder what would turn up? There are roomfulls made public...bet they are all numbered and electronically searchable too.
Imagine that all these years PATH planned their big moves around folks' vacations and holidays thinking that ordinary folks go off to Disneyland and forget stuff. Personally, just wrap up a few e-document "hits" for me and wrap 'em up with a shiny bow. HoHoHo...

Reply
Keryn
12/8/2010 08:33:04 am

I'll have more about Dysfunction Junction tomorrow. Been busy trying to catch up after getting home. Only so much I could stand to do on a blackberry. I'm going to dream about little itty bitty keyboards and cranky touch screens tonight.

Once again, it wasn't about what was said, but the dynamics as work. Wow. If they were a family, they'd be in heavy-duty therapy!!!!

Reply
Da Hillbilly
12/8/2010 04:41:45 pm

A holiday episode of Jerry Springer comes to mind.

Reply
x
12/8/2010 07:56:51 pm

Dr Phil: And how do you feel about Daddy PJM's apparent favoritism of your big bully brother PATH, little Liberty Line? Does it cause resentment? You need to speak up and let go of your resentment or it will cause you to grow up with Daddy issues. I see you're crying, yes, your Daddy doesn't love you the same way. It's okay, Liberty Line, Dr Phil loves youuuuuuuu. Aww, group hug!

Reply
JustMe
12/9/2010 10:36:59 am

In the ultimate of daytime show parody, I think Mike Myers got it right with Dr. Evil and his son Scott playing guests on Jerry Springer. I LOVE that scene! Keryn, at my humble special request, can you link it? Purty Pleeeeeze?

Reply
Keryn
12/9/2010 08:13:33 pm

As you wish! See the Dysfunction Junction post.

LOL Good one!!!

Gotta watch it all the way to the end where Dr. Evil grabs the globe.... can't stop laughing now.

Reply
Transmission Line Tower link
1/6/2014 06:12:14 pm

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    About the Author

    Keryn Newman blogs here at StopPATH WV about energy issues, transmission policy, misguided regulation, our greedy energy companies and their corporate spin.
    In 2008, AEP & Allegheny Energy's PATH joint venture used their transmission line routing etch-a-sketch to draw a 765kV line across the street from her house. Oooops! And the rest is history.

    About
    StopPATH Blog

    StopPATH Blog began as a forum for information and opinion about the PATH transmission project.  The PATH project was abandoned in 2012, however, this blog was not.

    StopPATH Blog continues to bring you energy policy news and opinion from a consumer's point of view.  If it's sometimes snarky and oftentimes irreverent, just remember that the truth isn't pretty.  People come here because they want the truth, instead of the usual dreadful lies this industry continues to tell itself.  If you keep reading, I'll keep writing.


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